Q3 2020 Business Update amid Covid-19
Business environment -
-
CEE currencies have weakened versus the euro since Covid-19 outbreak
EUR/CZK
EUR/RON
+2.7%
-2.2%
+6.4%
+1.9%
+0.2%
+1.8%
25.7
26.4
27.1
26.5
25.4
27.1
4.74
4.83
4.84
4.84
4.79
4.87
1-9 19
1-9 20
Q2 20
Q3 20
31/12/19
30/09/20
.
CZK reached its weakest level in March 2020 since 2014;
benchmark rate cut in three steps from 2.25% to 0.25% in March &
May 2020
EUR/HUF
+7.7%
+0.5%
348.1
351.6
353.4
323.0
331.2
•
1-9 19
Q2 20
Q3 20
31/12/19
30/09/20
1-9 20
RON depreciated significantly and remained close to its all time
low in Q3 2020; policy rate cut by 100bps to 1.50% in March, May
& August 2020
EUR/HRK
+9.7%
+1.6%
-0.7%
+1.6%
363.4
7.41
7.53
7.58
7.53
7.44
7.56
1-9 19
1-9 20
Q2 20
Q3 20
31/12/19 30/09/20
1-9 19
1-9 20
Q2 20
Q3 20
31/12/19
30/09/20
•
HUF reached all time low versus the euro and remained relatively
weak since then; key policy rate was cut by 30bps to 0.60% in
HRK depreciated to its weakest level in April 2020 since 2016; 1w
repo was cut to 0.05% in March 2020
June & July 2020
Source: Bloomberg
ERSTEŚ
Group
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